Question : What adjustments are required for a decrease or increase in Trade Payables/bills payable while calculating 'Cash flow from operating activities'?
Option 1: Deducted and added
Option 2: Added and deducted
Option 3: Added and added
Option 4: Deducted and deducted
Correct Answer: Deducted and added
Solution : Answer = Deducted and added
A decrease in the value of current liabilities will increase the value of working capital and an increase in the value of current liabilities will decrease the value of working capital. Hence, the correct option is 1.
Question : To Calculate Cash Flow Operating Activities, which of the following will be deducted?
Question : To Calculate Cash Flow from Operating Activities, which of the following will be deducted?
Question : For calculating 'cash flow from operating activities' from the given figure of 'Net Profit' earned during a year, how would you deal with, if decrease in Bills Payable,
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